1.

AGMs of Public Listed Companies: Specific Contentious Issues

Public listed company is a company other than private company which issues the share
to the public. Public listed company, besides being governed by Companies Act 1965, it
also needs to comply with the Bursa Listing Requirements (BSR). 1 It had been listed in
the BSR about the requirement and how to conduct the meeting in Chapter 7 of Articles
of Association, Chapter 8 of Continuing Listing Obligation, Chapter 10 of Transaction
and Chapter 15 of Corporate Governance. Therefore, throughout these provisions,
there are several contentious issues that can be discussed on this subchapter.
2.1 Notice
The Bursa Malaysia Listing Requirement stipulates that organizations must guarantee
all notification assembling general gatherings contain adequate data to empower
individuals to choose whether to go to the meeting or not. This likewise is in
concurrence with the Best Practices as enlightening takes note will give individuals an
unmistakable photo of the matters to be talked about in the AGM and empower them to
make the vital arrangements, for example, remarks or contentions to be voiced out amid
the meeting.
The Best Practices in connection to notice requires more data to be given, for
example, voting methods, profit approbations, intermediaries and notification of book
terminations. These incorporate that the organizations ought to give in subtle element
the base prerequisites for vote by hand for the race on the other hand re-decision of the
chiefs matured 70 years or above, and clarify in their yearly report the sort of persons
who are qualified to be intermediaries in the meeting. The organization too should state
the necessity of dominant parts or that 75% must be available to pass a unique
determination and give a articulation permitting shareholders to make any unequivocal
choice on the Chief Executive Officer's Review of Operations. It is helpful to

1 Ahamad Saiful Azlin, Rashidah Abdul Rahman, Normah Omar, Wee Shu Hui & Aida
Hazlin Ismail. Disclosure on Annual General Meetings by Malaysian Public Listed
Companies, International Conference on Information and Finance, Kuala
Lumpur,2010 .

shareholders

if the

organization

determined

these

prerequisites

to

energize

shareholders to want the meeting and partake in the voting procedure.

2.2

Dividends and Entitlements and Payments

Best Practices oblige that logical notes on profit privileges and installments be made
either in the Notice of AGM or under extraordinary headings. It is great practice if the
organization is willing to give more data, for example, the similar figures on the profits
paid out in the earlier years. The diagram demonstrating the pattern can be
supplemented for the shareholders data.2
2.3Resolution
A resolution is a motion to be passed and agreed by the members in the general
meeting. There are two types of resolutions namely an ordinary resolution and a special
resolution. It was clearly stipulated that not only should the company come out with a
resolution but the shareholders also have the right to propose any resolution, but it
subject to reasonable limitations imposed by the company. In order to encourage the
shareholders participation in general meetings, companies should improve the ability of
shareholders to place items on the agenda by simplifying the process of filing
amendments and resolutions. Shareholder resolutions that are approved and fall within
the competence of the shareholders meeting should be addressed by the board

2 Rashidah Abdul Rahman, Normah Omar, Wee Shu Hui, Aida Hazlin Ismail & Ahmad
Saiful Azlin Puteh Salin, Disclosure on Annual General Meetings by Malaysian Public
Listed Companies, International Conference on Information and Finance (ICIF 2010),
pg 242.